USD/CAD ends 4-day rally, hovers around 1.3300

FXStreet (Mumbai) - USD/CAD snapped its four-day rally and turned into the negative territory in the mid-European session, as stabilizing oil markets and improved risk environment continues to boost the sentiment around the loonie.

USD/CAD drops from 1.3350

Currently, the USD/CAD pair trades -0.27% lower at 1.3300, facing stiff hurdle at multi-year highs of 1.3355-1.3350 levels. Rebounding oil prices and expectations of softer US durable goods orders data continues to keep the pair undermined.

While, markets chose to ignore the broad US dollar strength amid rising risk sentiment as the focus shifted back to higher oil prices. The US dollar index, the virtual gauge of greenback’s relative strength, now trades 0.46% higher at 94.34.

Later in the US session, investors will focus on US durable goods orders for July, which might further drive the USD moves. Also, New York Fed chief William Dudley is scheduled to speak later tonight.

USD/CAD Technical Levels

To the upside, the next resistance is located at 1.3350 (Today’s High) levels and above which it could extend gains to 1.3400 (Psychological levels). To the downside, immediate support might be located at 1.3275 (Today’s Low) levels and below that at 1.3157 (Aug 24 Low).

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